As the U.S. economy continues to be unpredictable, investors are looking for stocks that can outperform in any economic climate. According to Evercore ISI, certain all-weather stocks have the potential to do just this; whether we experience a recession or a soft landing from the Federal Reserve (Fed).
These all-weather stocks include companies like Microsoft Corporation and Apple Inc., which have proven their ability to remain profitable regardless of market conditions due to their strong balance sheets and diverse product portfolios. Additionally, they offer relatively safe dividends with low volatility compared to other sectors, such as energy and financials – making them attractive investments even during times of uncertainty.
Evercore ISI also suggests investing in healthcare companies, such as Johnson & Johnson and UnitedHealth Group Incorporated, due to their exposure across multiple markets, including pharmaceuticals, medical devices/equipment, insurance services, etc., allowing them some degree of insulation against economic downturns or slowdowns caused by Fed policy changes. In addition, these names should benefit from an aging population who will require more health care services over time no matter what happens economically speaking.
Overall, these all-weather stock picks provide investors with stability during volatile times while still offering upside potential when things improve economically down the line.
Read more at CNBC